Thanks uncleB. I have quite a few valid challenges which would prevent bankruptcy / return to original ownership. Yes I am trying to sort legal help. It's hard with limited financial resources. Hence why I'm trying to create own defence. I'm not sure I understand how they are legally allowed to completely gut a building whilst - I thought - under a legal obligation to sell? They have refused to sell whilst also accruing interest and applying costs over a very long time. It's as if they deliberately racked up interest and costs to create a shortfall and grab the property via bankruptcy. The property was in good condition. Although squatters did get in. Is it a viable legal opportunity for them - without bankruptcy - to retain the property and rent it whilst simultaneously still charging the mortgagor interest?

Just wondered if anyone has any input on whether a mortgagee-in-possession is allowed to stop advertising the property asset for sale and instead send builders in to rip everything out? I thought they had an obligation to market and sell? And could only do repairs/ maintenance? I didn't think they could completely renovate? Any thoughts?

Update - it seems a judge has allowed B petition to be served at incorrect address and by email and there's a B hearing scheduled for end year I guess I now need to get the SD set aside? Think this will suspend the B petition?? And stall any B hearing? I understand from previous advice/ links that I need to have good reasons to get the SD set aside. Could that be questioning the debt? Stating there's a valuable asset which they valued way higher than debt? Mentioning their refusal to sell the asset? Mentioning they have refused to disclose any personal data on me via a SAR and specifically no list of costs accrued, no financial statement, no list of interest amounts applied etc Mentioning that they are no longer marketing property. I know purchase lawyers were instructed as the fh lawyers disclosed requested info in the summer. But the property hasn't sold yet. Instead builders appear to be renovating. An estate agent let slip to a colleague that the "owner" has decided not to sell and is going to rent instead.... Mentioning that I served a SAR in Feb with a contactable address and they had my # and email - so why did they continue to try serve SD at an address they knew wasn't correct Etc etc Will any of these points work to get a set-aside? I understand that if the judge does set-aside he/she could then ask for both sides to attend a hearing. The crux is - would there be a shortfall and need for B if they had sold to the buyer who has been trying for 18 months Yes the house would get sold cheap but I would not have the blight against my name for the next 6-7 years... Am a bit panicked about what to do and timing

thanks HB Yes it IS complicated!! And I'm just not sure what step to make first. Firstly - can a mortgagee in possession stop trying to sell a property and simply refurb/ rent it instead? I thought they had a legal obligation to sell? And I thought they shouldn't let interest accrue if it puts mortgagor in a worse position - ie large shortfall/potential bankruptcy. I've been reading a lot. But can't find clarity. So any input would be appreciated

Yes. It is. Sorry I thought it might be best to start a new thread

After a repossession start 2019 the lender marketed the property and received offers within weeks - which were relayed to the mortgagor. All were low offers compared to lender's original valuation. 2 of the offers were unable to proceed due to other legal issues. One was able to proceed - but lender failed to accept. One year later lender organized sealed bids situation with agents to try gather interest. The same buyer as one year earlier placed the highest bid - the same level as before. However I now understand the lender is renovating the property with a view to rent it. And now pursuing mortgagor for bankruptcy. What can mortgagor do? Lender has wasted 18months adding interest and extra costs. And created a huge shortfall. Meanwhile, lender has refused to disclose costs or interest accrued since repossession

Thanks uncleB One other question: Can a mortgagee in possession refuse to sell? And instead rent? Or do they have legal obligation to sell? The property has been taken off-line and hasn't been marketed for last 2 months.

I have been trying to get detailed information from lender about my account - interest, costs added, offers received on the property etc. They have refused to disclose. I tried SAR and they still refused. Can I serve some kind of legal injunction on them to force them to disclose? Also could I do the same to the agents? Or would that be impossible because I am (now) not their client and they would not be able to disclose (gdpr rules) - even though I have a financial interest in the property?

Loan taken out 4 years ago.. Lender trying to pursue for B So doesnt make sense that there is no record on the credit file. Unless Lender is trying to pretend there is no secured asset against loan??

Does anyone have any idea why there is no record of the lender or any default on my credit file records? I just checked and there is no record at all of my loans, Could the lender have removed them?

So - just to be clear: The borrower not avoided lender; rather lender avoided trying to serve the borrower correctly Normally, I thought a claimant would have to prove an address is correct and papers served. If not, would it still be possible for a Judge to make borrower bankrupt?

thanks uncleB In this instance - neither lender nor process server has attempted email, text or phone to ask where the debtor is. Lender knew they made debtor homelesss. Debtor has no fixed address - therefore has not changed any addresses with any company. Mail is just on divert to a mailbox. And debtor has told lender this. The debtor served SAR and the lender has not disclosed they are attempting legal process for bankruptcy - as recent as 2 weeks ago Debtor doesnt have social media accounts so notification can't be done that way by lender or process server It is not a question of the debtor trying to avoid service. It is rather a question of lender not wanting debtor to know they want to make them bankrupt

Is it possible for a lender to ask a judge to make someone bankrupt on the basis they have not been able to serve petition?? Alleging they have tried everything to find borrower? Although in reality never admitting in email correspondence that they were already or intended to follow a legal path. Can they attend a hearing alone and ask the judge for Bankruptcy? Or must the lender always prove they have done everything possible to locate the borrower or bring it to their attention they wish to serve a B petition - for a judge to allow bankruptcy to proceed?

Thanks UncleB Relative getting all relevant docs together now. Will revert back when have everything ready

Thanks Bazza My understanding is: - the ex is in the financial world. Bankruptcy could affect his ability for further work? - ex repaid all other debts. Just avoided repaying relative's elderly parents and relative - ex co-owns house with ex-wife. No mortgage. No charges. - Potential divorce legal fees (stupidly) of £50k. - This house is for sale. He could/ should have proceeds of 500k. So plenty, plenty (in essence) to repay relative and her elderly parents. I don't think ex would want bankruptcy. And at the moment - before the house sale completes - there is potential to get a charging order.

Then there is the relative parents to consider. I am horrified to discover that he borrowed 60k. Funds from pensions.

Yes He paid the mortgage. And took a large lump sum out for his own use On the face of it he probably owes her a lot more than just the 300k down payment. But over and above this i think she'll have difficulty proving and I just don't think he has the money - other than the equity in the other former marital home. My opinion is to just go for the 300k. And yes, will get legal advice once she has put all docs together

Manxman - YES. The original conveyancing solicitor handled the sale of relative's first home and the purchase of the family home. He drew up a legal document that stated her 300k was her financial input and to be separate from any eventual joint profit share upon sale. When the family house was sold the ex bullied her into a straight 50/50 split - which didn't exclude her original down payment. She wants to enforce the document which shows it should have been excluded and returned to her - before the 50/50 was done

honeybee - I understand. In principle I am enquiring about the SD process. I never knew this process existed until I had a lender attempt to serve one on me. I have a separate thread on this. Which simply was: behind my back - knowingly at an incorrect address - a lender tried to serve a SD on me. They somehow managed to get a substituted service of the SD. I did not know of any of this at the time. I recently discovered however, that they managed to secure another hearing, within 1 month, in which they tried to present a bankruptcy petition. They failed at this point apparently as they could not prove service of documents. They were given 2 months to serve the petition. Then Covid got in the way and the process got extended for months; I don't know when or if there will be a hearing... In my case, despite being in constant email contact and serving them with a SAR - the lender failed to ever alert me to this legal action. But that is a digress. What I really mean to say is that having had this process used against me, it seems to be a potentially useful process - as long as relative has concrete evidence - to speed up debt collection. And I guess I am wondering if anyone here has ever used a SD on anyone who owes them money? I will suggest relative gets a free legal session with a lawyer anyway... And separately, relative's parents too.

Manxman 1) The ex remortgaged the family home (the home he jointly owned with relative) - and used these funds to pay his own father's business and personal debts. He bullied relative into agreeing. Over the years their equity increased a lot - but he took a chunk out by remortgaging and sending all this money to his father. 2) Separately the ex also borrowed money from relative's parents. He used this money for his own use and promised to repay them when the family home was sold. He hasn't. 3) the relative sold her first home and made 300k. The next property (the family home) was of higher value. Her 300k was the down payment/ large deposit.. Then there was a mortgage for the balance of the purchase price. When the house was sold she never got back the 300k. The ex just split the proceeds 50//50. Her lawyer had drawn a doc that stated her 300k was separate from any joint profit share. Ex did not honour this. Again relative was bullied into agreeing. Put in context, she was very sick (C) and has depression... I agree this situation is unfortunate. I am furious with the ex for taking advantage of their vulnerability and intrinsic trust. I think they have a small window of opportunity right now - with his former marital home being up for sale - to recoup their money. This is why I am trying to ascertain if they can both serve a SD on him now (via process server) ???

So I have sat down with relative and gone through their details. Relative has a legal document stating that one property sold and proceeds then used on family home. The sale proceeds were held by lawyer in their holding account before transfer. This sum is indisputable. There is a further large sum that "should be due" from the profit share. Relative can prove what sums were taken by ex for own personal use - which should have been considered as his advance payments from potential future profits ie to be deducted off the final balance. However, looking at ex's position realistically he won't have the funds to repay it. It seems more prudent to lodge a claim just for the lump sum down payment that relative paid. The proceeds of ex's former marital home will cover this. Is it as simple as serving a SD and attaching the legal documents as proof?? Will ex then have just 18 days to respond/ defend? As for relative's parents: Nothing was put in writing by ex. He "asked" for the money. He "promised" the money would be loans and he would repay. On "trust" relative's parents wrote several cheques. The "agreement" was that the loans would become due upon sale of the family home. Relative's called in the loans upon the sale - and ex has failed to repay. What would happen if relative parents served a SD on him?

Thank you all. I am just asking for all the paperwork so i can then collate and ascertain what is good enough evidence to substantiate a claim for both of them. Manxman - I agree with you that a court should decide against 50/50 with such facts. We just need to prove the facts. And, as you say, perhaps take legal advice?

aaah ok Let me check what was written I will be back

Sorry - there is a lot of proof. I just dont know if for all of it. The loans from elderly relatives would be a separate claim - could they send a SD to him to start with?

yes. Well relative and relatives potential problem Although I am sure there is enough written down to prove... Could they each serve a SD on the ex? Assuming they have the proof